Peloton shares bounce after first quarterly growth in two years

22nd Aug 2024 14:41

(Sharecast News) - Shares in Peloton Interactive raced ahead on Thursday after the struggling connected exercise equipment maker reported its first quarter of rising sales in more than two years.

Total revenues in the fiscal fourth quarter ended 30 June were $644m, comprising $212m from hardware sales and $431m from subscription sales, ahead of the top end of its $618-643m guidance.

While this was up just 0.2% on the same period last year, this was the company's first quarter of positive sales growth since the second quarter of FY22.

Peloton recorded a net loss for the fourth quarter of $30m, a significant improvement from the loss of $211m a year before and $137m in the third quarter.

Peloton, which has been operating without a permanent CEO since its former boss Barry McCarthy resigned in May, said it finished the period by "meeting or exceeding our guidance on all key metrics and making continued progress on a number of our financial goals".

The company added: "the search for Peloton's next CEO is top of mind for all stakeholders. The process is well underway and we look forward to sharing more when we have an announcement."

The stock was up 12% at $3.76 by 0947 in New York, but were still 45% lower than they were last August and a long way away from the $150-160 range seen in early 2021.